Levelling Up: The Game of Education and Opportunity
Photo by Clayton Hotels
Economics and education are two fields that often go hand in hand, shaping individual lives and society's progress. Education is considered an investment in human capital, enhancing skills and knowledge, which drives productivity and innovation in the workforce. Likewise, the state of the economy significantly influences access to education, often determining opportunities for growth and advancement. Nowadays, many people dream of going to prestigious universities like Oxbridge or the Ivy League, but the income divide continuously worsens the livelihood of the lower to middle class and their access to education.
Regarding education disparity, the income and wealth divide of different socio-economic groups is one of its root causes. In recent years, the economic inequality between social classes has surged, where the rich are getting richer, while the poor keep getting poorer. Over the past four decades, the post-tax income of America’s richest households grew by 650%, more than five times the growth of their counterparts (Figure 1). Moreover, according to the US Census Bureau, the top % of American earners have nearly doubled their share of national income since 1950, whereas the poverty rate for all U.S. families has merely inched up and down (Figure 2).
Figure 1: Cumulative growth in U.S. household income before taxes and public assistance, 1979-2021 (source: Congressional Budget Office)
Figure 2: Top % share of U.S. income and share of families in poverty, 1970-2021 (source: World Inequality Database, U.S. Census Bureau)
This issue directly impacts educational opportunities, as children from lower-income families often attend underfunded public schools that lack essential resources, such as qualified teachers and advanced coursework. In contrast, higher-income families can afford private schooling or live in affluent areas with well-funded educational institutions, further entrenching the divide. Typically, schools in affluent neighbourhoods receive more funding through property taxes, ensuring sufficient resources are allocated for extracurricular activities, materials needed for advanced placement courses, and other specific educational resources. Students in these areas have little to no access to advanced placement courses and extracurriculars, giving wealthy students a head start in their college admission processes. In 2024, the average annual tuition at private high schools is at a staggering $15344, whereas that of the countries’ top boarding schools can reach upwards of $60000. The median income of low-class households is an estimated $30000 per year, thus ending all hopes of funding the foundational education needed to send children to the Ivy Leagues.
The education market can be divided into two main ones: private tutoring and supplementary education, versus educational materials and resources. Despite the often belief that the digitalisation of education significantly improved the general public’s access to materials, the devices needed to browse such content are not affordable. Most mid-range laptops cost approximately $600, which is considered a luxury to most low-income individuals. Moreover, reliable internet access is critical for utilizing online resources. In many underserved areas, connectivity is scarce or too expensive, creating a digital divide. This inequality in access can hinder academic performance and perpetuate cycles of disadvantage. Even with access to devices and the internet, digital literacy poses a significant challenge. Many individuals lack the skills to effectively navigate online platforms, limiting their ability to benefit from available educational resources.
On the other hand, tutorial classes have long been a norm in Asian countries, where students go to centres after school or on weekends to further strengthen their understanding of the subject contents in the curricula. As a result of the ever-growing competitiveness in university admissions, the number of students across the globe attending these classes spiked exponentially. However, many families cannot afford these costly supplementary lessons and are often left behind academically compared to their wealthier peers. As a result, many pupils from these families cannot attend universities sought after by employers, or even meet the entry requirements of courses. Thus, they are restricted to working within jobs with low entry barriers, subsequently earning a much lower wage than those who obtained degrees from prestigious universities and work at the top of the corporate ladder.
More often than not, the aforementioned circumstances contribute to the self-fulfilling prophecy in education among the less privileged, a psychological phenomenon where a person's manifests his expectation about an event or behaviour. Poverty influences educational outcomes through several factors, namely inadequate nutrition, stressful environments, and school quality. Studies found that malnutrition can impede cognitive development, thereby affecting academic performance. Moreover, children in unstable home environments often endure high stress and concerns for their safety, which can negatively impact their psychological well-being and hinder concentration and learning. As these disadvantaged individuals mature and establish their own families, they may perpetuate the belief that striving for a better future is futile, discouraging the pursuit of academia and pressing children into joining the workforce as soon as they are of age. When children are raised with minimal expectations regarding higher education and career success, a self-fulfilling prophecy ensues.
It is undeniable that there is a lot of legislation and change that is needed to create a more equitable society for everyone. Firstly, governments should prioritise equitable funding for public schools, particularly in low-income neighbourhoods. To provide underfunded schools with necessary resources, such as qualified teachers and extracurricular activities, property tax systems should be revised to reduce reliance on local wealth for school funding and implement targeted grants aimed at underfunded schools. Then, more investments should be allocated to early childhood education. Subsidising pre-K programs can help level the playing field by preparing children for success in primary education. In contrast, parent education initiatives can foster a positive home environment encouraging academic engagement.
To bridge the gap in digital access, all students should have the necessary technology and educational materials. For example, device loan programs that provide laptops and tablets to those who cannot afford them can be implemented in schools with the help of government subsidies, and expanding public access to Wi-Fi in underprivileged neighbourhoods can enhance access to online resources. Furthermore, increasing access to tutoring and supplementary education is vital. Subsidised tutoring programs offered by government or nonprofit organisations can help low-income students keep up with their peers. At the same time, community learning centres can provide after-school support and enrichment activities without charging overpriced tuition. Similarly, schools should have access to mental health resources to support students facing emotional and psychological challenges, and implementing policies that ensure safe and nurturing learning environments can reduce stress and improve academic focus. Raising awareness about educational disparities through public campaigns is also important to mobilise communities and policymakers, gathering support for necessary reforms.
As we have seen, the widening income divide exacerbates educational inequalities, trapping many children in a cycle of poverty and limiting their opportunities for upward mobility. To create a more equitable society, policymakers should prioritise equitable school funding, invest in early childhood education, and bridge the digital divide through accessible technology. Additionally, expanding access to tutoring and mental health resources can support students facing various challenges. By fostering a collaborative effort among governments, communities, and organisations, we can work towards dismantling the barriers that perpetuate inequality, ensuring that every child has the chance to succeed and reach their full potential. The path forward demands commitment and action, as the future prosperity of our society depends on the educational opportunities afforded to all its members.
Sources:
https://educationdata.org/average-cost-of-private-school
https://inequality.org/facts/income-inequality/
